Best Non-Trucking Liability Insurance Companies

Published 3/26/2024

While motor carriers are required by law to carry primary liability insurance for any trucks that drive under their authority, owner operators who lease onto motor carriers are usually required in the lease agreement to carry non-trucking liability insurance to cover scenarios where they are not driving for the motor carrier.

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Below we cover everything you need to know about non-trucking liability insurance - including coverage, costs, and the best companies offering NTL insurance.

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For those just looking for a list of top companies, here are our favorites.

Progressive

Call an Agent Get Quote

Best Overall

biBERK

Call: (855) 852-8232

Get Quote

Recommended for new trucking companies

The Hartford

Call: (855) 852-8232

Get Quote

Recommended for larger fleets

By clicking “Get Quote” or calling you will go to one of our insurance partners. The providers above may not be one of the providers in their network at this time.

Table of Contents

What is non-trucking liability insurance?

NTL Insurance vs Bobtail Insurance

Who needs NTL insurance?

What does NTL cover?

How much does it cost?

Comparing Options

Top Companies

FAQs

About the author

Kyle Fretwell has worked as a researcher and data-journalist for over a decade. His work has appeared in publications such as Bloomberg, Fox Business, MSN, USA Today, CNBC, and the Houston Chronicle.

He now manages TruckInfo.net's content team and is a regular fixture at the Mid-America Trucking Show in Louisville.

What is non-trucking liability insurance?

Non-trucking liability insurance (NTL Insurance) is a type of insurance that covers owner operators from liability claims when a truck is being used for personal reasons.

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Most motor carriers will require NTL insurance in their lease agreement so that owner operators don’t make claims against the carrier’s insurance policy while not driving for the motor carrier.

Non-Trucking Liability vs Bobtail Insurance

It’s common to see the terms non-trucking liability insurance and bobtail insurance used interchangeably - these insurance types are usually required by motor carriers to ensure that owner operators are covered by insurance when they’re not driving for the motor carrier.

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But there are key differences between bobtail and non-trucking liability insurance.

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Here are the most important differences you need to know:

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Bobtailing

Bobtailing is a term used to describe when a truck is driven without a trailer attached
Bobtail insurance only covers trucks when they don’t have a trailer attached, it never covers trucks hauling a trailer
Bobtail insurance covers trucks regardless of whether they’re being used for business or personal reasons
It also doesn’t cover physical damage to the truck or medical expenses related to the driver or any passengers

Non-trucking liability insurance

Non-trucking liability insurance covers owner operators from liability claims when the truck is not being used for business purposes
It covers trucks whether or not they have a trailer attached
It doesn’t cover physical damage to the truck, trailer or cargo, or medical expenses related to the driver or passengers.

Who needs non-trucking liability insurance?

Owner operators that are leased onto a motor carrier will likely need non-trucking liability insurance. While not a legal requirement, most lease agreements will include it in the contract.

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Motor carriers are required by law to provide primary liability coverage to their owner operators but carriers don’t want owner operators making claims against their insurance while not under dispatch. To prevent this, most carriers require their owner operators to carry non-trucking liability insurance.

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Trucks that might need non-trucking liability insurance include:

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Tractor trailers
Pickup trucks
Box trucks
Tow trucks
Cargo vans

What does non-trucking liability insurance cover?

Non-trucking liability insurance covers any expenses from damage or injury to a third-party when the vehicle is not under dispatch.

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This can include damages to other vehicles and injuries to other drivers or pedestrians.

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Coverage can include:

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Third-party Bodily Injury Coverage
Property Damage Liability Coverage
Medical Payments Coverage/Personal Injury Protection
Uninsured/Underinsured Motorist Coverage

What does it not cover?

It’s also important to note what non-trucking liability insurance doesn’t cover:

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Coverage

Non-trucking liability insurance doesn’t apply when you’re using the truck for business purposes
This includes when you’re operating on behalf of a motor carrier

Scenarios

Generally, non-trucking liability insurance doesn’t cover activities done under dispatch like driving home, filling the truck with fuel, or driving it to the auto shop.
These activities are within normal behavior while delivering cargo, so they’re usually covered by the standard liability insurance policy.

Typical Policy Limits

While policy limits will vary depending on the insurance company, a typical non-trucking liability insurance policy will have the following limits:

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$1 million in combined single limits
$100,000 in uninsured/underinsured motorist coverage per accident
$50,000 in uninsured/underinsured motorist coverage per person

How much does non-trucking liability insurance cost?

Non-trucking liability insurance typically costs between $300 to $800 a year.

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Compared to primary liability insurance, non-trucking liability insurance is less expensive because it only kicks in when the truck is being used for non-business purposes.

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The cost of your policy is calculated using a range of different factors, including:

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Your lease agreement
Vehicle type and model
Driving record
Age
Number of years with a commercial driver's license (CDL)
The frequency of driving for non-business purposes
Credit score
Limit requests
Primary location

You can also get bobtail insurance or non-trucking liability insurance and physical damage insurance in a combined bundle. NITIC estimates that an owner operator with a $40k truck would pay around $4k a year in premiums for both coverages.

Comparing NTL insurance options

When choosing a non-trucking liability insurance company, there are some criteria to keep in mind to help you get the best policy at the best rate.

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This includes:

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Personalized customer service: It’s important that the company you choose has good customer service for day-to-day admin tasks like adjusting coverage limits, as well as reporting and tracking claims.
Online policy access: An online portal for managing your insurance policy means you can easily make payments, view your payment history, get proof of insurance and more.
Reasonable rates: You want to make sure you’re getting the best price for your insurance policy so cost is a key factor in comparing non-trucking liability companies, including coverage limits and deductibles. Look out for companies that offer discounts and policy bundles too.

Cheap NTL Insurance

The annual cost of your non-trucking liability insurance will depend on a range of factors, including your credit score, policy limit, your age, and driving history.

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While some of these factors you can influence, some are outside your control.

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To get cheap NTL insurance, try these tips:

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Work on improving your credit score
Reduce your policy limit

Some companies also offer discounts on non-trucking liability insurance when you pay your annual premium in full or when you bundle your NTL insurance with other types of coverage.

Best Non-Trucking Liability & Physical Damage Insurance Companies

Choosing the right insurance coverage is an important decision with a lot of variables to consider so it is a good idea to get several quotes and carefully compare coverage and pricing before making a decision.

Progressive

Call an Agent Get Quote

Best Overall

biBERK

Call: (855) 852-8232

Get Quote

Recommended for new trucking companies

The Hartford

Call: (855) 852-8232

Get Quote

Recommended for larger fleets

By clicking “Get Quote” or calling you will go to one of our insurance partners. The providers above may not be one of the providers in their network at this time.

FAQs

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What does NTL mean in insurance?

NTL stands for non-trucking liability insurance - it is a type of insurance that covers owner operators who are leased onto a motor carrier from liability claims when their vehicle is being used for personal rather than commercial purposes.

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What kind of insurance do owner operators need?

It’s advisable for owner operators to have the following types of insurance:

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General liability insurance
Physical damage coverage
Trailer interchange
Occupational Accident Insurance

As requirements can vary, owner operators should discuss their insurance needs with their motor carrier and insurance company to find out what insurance they’re obligated to have.

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What type of insurance is required by the FMCSA?

The FMCSA requires that motor carriers have at least $750,000 in primary liability insurance - but they may need to be covered up to $5M depending on the commodities they are hauling.

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Carriers moving vehicles under 10,001 lbs only need $300,000, while household goods motor carriers need $5,000 per vehicle and $10,000 per occurrence.

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Is non-trucking liability the same as unladen insurance?

Unladen insurance provides coverage for a truck when it is not loaded, whether it is being used with an empty trailer - known as deadheading - or being used without a trailer - aka bobtailing. Unladen insurance protects you regardless of whether you’re using the truck for business or personal activities.

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Non-trucking liability insurance only applies when a truck is being used for non-business purposes, whether or not they have a trailer attached. Non-trucking liability insurance is usually required for owner operators who are leased to a motor carrier.

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Owner operators should discuss their needs with their motor carrier and insurance company to find out exactly what types of insurance they need.

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Is non-trucking liability the same as deadhead insurance?

Deadhead insurance is insurance that protects you when a trailer is attached to the truck but it is empty.

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Non-trucking liability insurance is coverage that’s used when a truck is being driven for non-business purposes, whether or not a full trailer is attached.

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They are two different types of insurance that cover two different scenarios - owner operators should discuss their needs with their motor carrier and insurance company to find out what insurance they need to have.

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Does Geico offer bobtail or non-trucking liability insurance?

Geico doesn’t offer bobtail or non-trucking liability insurance. Find out more about the types of insurance Geico offers on their website.

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Best Non-Trucking Liability Insurance Companies

What is non-trucking liability insurance?

Non-Trucking Liability vs Bobtail Insurance

Bobtailing

Non-trucking liability insurance

Who needs non-trucking liability insurance?

What does non-trucking liability insurance cover?

What does it not cover?

Coverage

Scenarios

Typical Policy Limits

How much does non-trucking liability insurance cost?

Comparing NTL insurance options

Cheap NTL Insurance

Best Non-Trucking Liability & Physical Damage Insurance Companies

FAQs

What does NTL mean in insurance?

What kind of insurance do owner operators need?

What type of insurance is required by the FMCSA?

Is non-trucking liability the same as unladen insurance?

Is non-trucking liability the same as deadhead insurance?

Does Geico offer bobtail or non-trucking liability insurance?

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